What are the potential penalties for highly compensated individuals of fully-insured group health plans?
Rules similar to the non-discrimination rules for self-insured plans were originally effective January 1, 2011 for calendar year plans. However, IRS Notice 2011-1 issued in January 2011 provides that the non-discrimination provisions are not applicable until additional guidance is issued. The penalties for failure to comply with the non-discrimination provisions will also not apply until that time.
